THE SENIOR ANALYST
since they are in digital form, they can be
transferred almost anywhere in the world easily.
In essence, Bitcoins are a mutual agreement
between its users to be used to trade with, just
like any other conventional currency. Its form is
very difficult to manipulate and, here is where
the magic happens, its not owned by any one
person in particular. Viva La Democracy, right?
But why is there a need for a separate form of
currency, when all the payments and exchanges
can be made easily with the regulated form of
money?
One strong motivation could be the fact that
Bitcoins are given value to it by the community
which uses it. In effect, it ceases to require any
backing or support from an authority to function
and succeed. So with a Bitcoin, you have a
technology that works like cash, albeit, where
transactions cannot be reversed at will, where
transactions happen only by the use of a secure
pin that you have access to, AND there are no
middlemen. Only the buyer and seller are there.
Win-Win game no?
If only the world was as simple.
Even if Bitcoins may not be a Ponzi or Pyramid
scheme (where people invest in a place